Which of the following statements about modern banking crises are correct? Check
ID: 1214798 • Letter: W
Question
Which of the following statements about modern banking crises are correct? Check all that apply. square Around the world, banking crises are relatively frequent events. Square The causes of banking crises around the world are typically the same. Square Modern banking crises occur only in small, poor countries that lack regulatory safeguards found in advanced countries. Square Between 1970 and 2007, most banking crises occurred in small, poor countries. On the graph, indicate what would have happened in the housing market if the mortgage market had contracted instead of expanded. Shift the demand curve for housing, the supply curve for housing, or both. Tool tip: Click and drag one or both of the curves. Curves will snap into position, so if you try to move a curve and it snaps back to its original position, just try again and drag it a little farther. A contraction in the mortgage market would have resulted in in the price for housing.Explanation / Answer
Ans-around the world the banking crisis are relatively frequent events.
When mortgage market is contracted there will be shift of both demand and supply.
A contraction in the mortgage market would have resulted in increase in the price of housing.
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